Anne Webster (Mallee, National Party, Shadow Assistant Minister for Regional Development) Share this | Link to this | Hansard source

WEBSTER () (): When people in my electorate of Mallee are worried about something they frequently ask me to bring the issue into the chamber and to bring it to the attention of the government. I defy anyone here in this chamber today to tell me that energy prices are not a significant concern for businesses in their electorates. Mildura Fruit Juices Australia is a big manufacturer and exporter in my electorate. They are Australia's largest independent processor of fruit juices. General Manager Hugh Baird has told me his company has had to reduce its intake of grapes this season due to the now unviable energy cost to evaporate the grapes into concentrate. The company anticipates that over 2023 its energy costs will increase to $1 million. They are continually investigating energy efficiency options with little to no commercial alternatives and little government support. These options include biofuel production, solar energy and other renewables, but to no avail as there are very few alternatives to energy required for steam generation and freezing. Due to these high energy costs the viability of the business is currently under review by the company's management and the board. This could result in significant cutbacks or potential business closure, at a huge loss to the local community in terms of not only jobs but an iconic brand. And Mildura Fruit Juices Australia is not on their own dealing with the pressures of high energy costs.

In the south of my electorate, Mortlock Hydroponics has been a tomato grower near Carisbrook for more than 20 years. They supply tomatoes to the major supermarkets as well as other markets in Sydney and Melbourne all year round. Growing manager Ian Mortlock has told me that in June last year the only gas contract he could get was for $40 a gigajoule—a 400 per cent rise on his previous contract. If Ian had continued with the same gas usage after June last year his bill would have equated to $1.7 million. To avoid closure and laying off his 35 to 40 staff Ian's operation just used less gas, which of course affected his yield. Since the last contract expired in December, and post the Labor government introducing their $12 per gigajoule price cap, Ian can't get more than a month to month contract from his gas retailers. This uncertainty has raised doubts for Ian in planning for his next crop. This was always the worry with the Labor government interfering with markets. It has affected gas retailers' confidence— (Time expired)